Currency Corner

Is it Time for USD Bears to Hibernate?
Specialty: FOREX
Published: 12/6/2012
By Erik Swarts
The euro has put on an impressive rally against the US dollar this past week, but Erik Swarts of MarketAnthropology.com thinks that ride might soon be over.

 

The rubber band that is the US dollar index continues to extend from its late November hinge.

chart
Click to Enlarge

Considering that weakness in silver has preceded major pivots lower in the euro—dollar bears would be wise to heed its call and take shelter for an early winter slumber. I am indeed biased here, but can appreciate the symmetry of their respective retracements. Both silver and the USDX exceeded mirrors of their 61.8% retracement levels. The bottom line, though, is that silver continues to hold prescience to risk appetites.

chart
Click to Enlarge

That is—if you're not in denial.

chart
Click to Enlarge

Hi ho silver--away!

Erik Swarts can be found at MarketAnthropology.com.

FREE Live Webinars

Wednesday, May 22, 4:30 pm – 5:30 pm EDT
Keyword Image

Applying The Best Option Trades for Seasonal Trades Setting Up Right Now

Gold, Energies, Agriculture, Technology and Consumer stocks all have a tendency to move during this time frame into late July. Join John Person as he...
REGISTER FREE

TRADESHOW LOCATIONS

Show Logo
San Francisco
 • August 15 – 17, 2013
More Details  | Register FREE
View Complete Schedule
Free eLetters

Receive all-new market analysis and commentary, timely recommendations, exclusive videos, and much more from hundreds of top experts. Subscribe today!

INVESTING ELETTERS

   More Details

Daily Investing Alert

Weekly Investing eLetter

Hot Off The Tape Weekly Video eLetter

TRADING ELETTERS

   More Details

Daily Trading Alert

Trading Lessons

Trader Talk Podcast

Most Popular

Keyword Image The Week Ahead: Will 2013 Be Another Double-Digit Year?
A test of all-time stock highs looks highly likely next year, but the market's reaction to fiscal...
Large-Cap Winners & Losers
15 Most Overbought S&P 500 Stocks
Rising Sun Redux
Sponsored Links

Vale S.A.

Vale is the second largest metals and mining company in the world, one of the 30 largest publicly…
Learn more…

Linn Energy LLC

LINN Energys mission is to acquire, develop and maximize cash flow from a growing portfolio of…
Learn more…

Best Choice Software, Inc.

Seasonal/Cycle Charts are the newest and latest development by Best Choice Software and have…
Learn more…

Atlas Energy, L.P.

Atlas Energy, L.P. (NYSE: ATLS) is a master limited partnership which owns all of the general…
Learn more…